By Bruno Federowski
SAO PAULO, July 5 (Reuters) - Most Latin American currencies
weakened on Wednesday on a slump in crude prices, while worries
about the independence of South Africa's central bank took a
broader toll on emerging market currencies.
Oil prices retreated more than 3 percent following their
longest bull-run in more than five years, weighed down by
climbing OPEC exports. Currencies from oil-exporting economies
fell, including the Mexican and Colombian pesos.
The Chilean peso declined along with a fall in the
price of copper. Brazil's benchmark Bovespa stock index
was nearly flat as a decline in iron ore futures hit shares of
miner Vale SA.
The worries about the independence of South Africa's central
bank highlighted nerves about higher global borrowing costs.
The South African rand slumped 1.8 percent following
reports that the ruling African National Congress had agreed at
its party conference that the central bank should be
nationalized.
The currency of Africa's most industrialized nation plumbed
lows last hit in mid-June when a row over the bank's mandate
also rattled markets just as the economy fell back into
recession.
Minutes from the U.S. Federal Reserve's latest policy
meeting showed policymakers were increasingly split on the
outlook for inflation and how it might affect the future pace of
interest rate rises. Traders said the minutes confirmed recent
market doubts over the Fed's plan to hike rates once this year
and thrice next year.
Key Latin American stock indexes and currencies at 1845 GMT:
Stock indexes Latest Daily YTD
pct pct
change change
MSCI Emerging Markets 1,009.77 0.3 16.75
MSCI LatAm 2,558.76 0 9.31
Brazil Bovespa 63,221.07 -0.02 4.97
Mexico S&P/BVM IPC 50,240.77 0.4 10.07
Chile IPSA 4,846.83 0.21 16.75
Chile IGPA 24,235.62 0.2 16.89
Argentina MerVal 22,565.34 0.8 33.38
Colombia IGBC 10,974.39 -0.16 8.36
Venezuela IBC 123,644.98 0.23 289.98
Currencies Latest Daily YTD
pct pct
change change
Brazil real 3.2996 0.25 -1.53
Mexico peso 18.2945 -0.63 13.39
Chile peso 665.7 -0.33 0.75
Colombia peso 3,083 -1.24 -2.64
Peru sol 3.257 0.00 4.82
Argentina peso (interbank) 17.1300 -1.23 -7.33
Argentina peso (parallel) 17.16 -1.17 -1.98
(Reporting by Bruno Federowski; Editing by Leslie Adler)
